Fuel demand rises in March to highest since December 2019

NEW DELHI: India’s fuel consumption rose in March for the first time in three months, to its highest since December 2019, as economic activity gradually picked up after a coronavirus-induced slowdown.
Consumption of fuel, a proxy for oil demand, rose 17.9% to 18.8 million tonnes year-on-year in March, data from the Petroleum Planning and Analysis Cell (PPAC) of the ministry of pPetroleum & natural gas showed on Friday.
On a monthly basis, demand rose by 8.7% from February, when it fell to a five-month low.
“Car sales are rising and people are travelling more,” while oil refiners are also upbeat about demand, said Refinitiv analyst Ehsan Ul Haq.
Preliminary industry data earlier this month pointed to an increase in Indian state retailers’ gasoline and gasoil sales in March from the low base of last year when a nationwide lockdown hit consumption.